Page 20 - FNTA Sellers Guide_AZ
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 TERMS YOU SHOULD KNOW
ACKNOWLEDGEMENT: A formal declaration made before an authorized official (usually notary public) by the person who has executed (signed) a document by his or her own act and deed. In most instances, documents must be ackowledged (notarized) before they can be accepted for recording.
AFFIDAVIT: A sworn statement in writing, made before an authorized official.
AMENDMENT: A change either to alter, add to, or correct part of an agreement usually doesn’t change
the principal idea or essence.
APPRAISAL: An estimate of value of property resulting from analysis of facts about the property; an opinion of value.
ASSESSMENTS: Specific and special taxes (in addition to normal taxes) imposed on real property for public improvements within a specific geographic area.
BENEFICIARY: As used in a trust deed, the Lender is designated as the Beneficiary, i.e. obtains the benefit of the security.
CC&Rs: Covenants, Conditions and Restrictions. A document that controls the use, requirements and restricions of a property.
CLOSING DISCLOSURE: The financial disclosure statement that accounts for all of the funds received and disbursed at the closing, including deposits for taxes, hazard insurance and mortgage insurance.
CONTINGENCY: A condition that must be satisfied before a contract can be completed. For instance, a sales agreement may be contingent upon the buyer obtaining financing.
DEED OF TRUST: Written instrument by which title to land is transferred to a trustee as security for a debt or other obligation. Used in place of mortgages in many states. Also called Trust Deed.
EARNEST MONEY DEPOSIT: Down-payment made by a purchaser of real estate as evidence of good faith; a deposit or partial payment.
EASEMENT: A right, privilege or interest limited to a specific purpose that one party has in the land or another.
ESCROW: A procedure in which a third party acts as a stakeholder for both the buyer and the seller, carrying out both parties’ instructions and assuming responsibility for handling all of the paperwork and distribution of funds.
FEE SIMPLE: An estate in which the owner has unrestricted power to dispose of the property as he or she wishes, including leaving by will of inheritance. It is the greatest interest a person can have in real estate.
GRANT: A transfer of real property from the grantor, who makes the grant, to the grantee.
HOMESTEAD EXEMPTION: Automatic in Arizona, it allows any resident of Arizona, 18 years or older, to be exempt from attachment, execution or forced sale $150,000 of equity in a single dwelling unit. Exceptions include: (1) a consensual lien, i.e. where a deed of trust or equity loan is foreclosed; (2) a forced sale resulting from a mechanic’s lien; and (3) any equity beyond the $150,000. You should consult an attorney to determine if this exemption offers you protection in the event of an attachment, execution, or forced sale.
IMPOUND ACCOUNT: Funds retained by a lender to cover such items as taxes and hazard insurance premiums.
Copyright 2018 Fidelity National Title: Content cannot be edited or reproduced without written WWW.FNTSouthernArizona.com permission from Fidelity National Title. All content he re in is informational only and not
intended to offer legal or financial advice.
      













































































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